Despite uncertainty over the deal’s future, Elon Musk says he is “still committed” to buying Twitter.
In a brief update, he stated, “Still committed to acquisition.”
That occurred two hours after Mr Musk said he was putting the transaction on hold until he had more information regarding the platform’s spam and false accounts.
He had stated in an update on Thursday morning, “Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users.”
Musk didn’t say anything further about his thoughts.
Even before Mr Musk’s remarks, there had been talk that he may back out of the transaction. Since the announcement, Twitter’s stock price has plummeted, falling considerably below Mr Musk’s $54.20 offer.
He can still back out of the transaction, which might take months to finalize, but he will have to pay Twitter $1 billion if he does.
The statement that the takeover was now “on hold” fueled speculation that Mr Musk was trying to get out of the arrangement.
Analysts observed that the tweet had prompted further drops in the stock price, which had plunged more than 20% in pre-market trade, moving it even farther away from Mr Musk’s offer price.
Mr Musk’s finance for the transaction has also been questioned, with some of it reliant on his Tesla stock, which has been losing value as well. According to reports, Mr Musk is exploring for a new financing structure that would avoid the use of such shares.
Mr Musk published the latest brief tweet after two hours of speculation, however he provided no more information on the status of the deal or what had caused it to be postponed.
